Minnesota has made the following changes to the tax laws for the 2020 tax year:
What changes were made to deductions?
- The standard deduction is increased for each filing status. If you are married and filing a separate return, you may only claim the standard deduction if your spouse did not itemize deductions.
The standard deductions for the 2020 tax year are as follows:
Single $12,400 Married Filing Joint, or Qualifying Widow(er) $24,800 Married Filing Separately $12,400 Head of Household $18,650
- Minnesota enacted its own allowable itemized deductions beginning in 2019. You may itemize deductions on your Minnesota income tax return even if you claimed the standard deduction on your federal income tax return. Itemized deductions are reduced as your income exceeds $197,850 ($98,925 if you are married and filing a separate return).
What changes were made to exemptions?
Beginning for the 2019 tax year, the exemption for yourself and spouse (if filing a MFJ return) have been removed. Exemptions are now only allowed for qualifying dependents.
The dependent amount for 2020 is $4,300 per each qualifying dependent.